Saudi Aramco Awards U.S. General Dynamics Offshore Security Contract

KHOBAR, Saudi Arabia, Dec 6 (Reuters) - Saudi Aramco has awarded a contract to the local subsidiary of U.S. company General Dynamics as the state oil giant aims to increase security at its offshore facilities, Saudi Aramco <IPO-ARMO.SE> said on Wednesday.

Apart from General Dynamics, Aramco received bids from other defence firms, including Raytheon Co of the United States, Germany's Rheinmetall AG, Leonardo's Selex ES Saudi Arabia.

No value was provided but sources told Reuters that General Dynamics will work with Saudi Binladin Group.

Saudi Aramco has been signing deals with foreign firms who have established local manufacturing as part of its in-kingdom total value add program (IKTVA).

Under IKTVA, Aramco aims to double the percentage of locally-produced energy-related goods and services to 70 percent by 2021 and to export 30 percent of the total domestic energy goods and services produced in the Kingdom over the same time frame.

The project supports such an initiative, Fahad al-Helal, Aramco's vice president for project management said in a brief statement posted on the weekly Arabian Sun Aramco magazine.

WHAT DO YOU THINK?

Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.